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Thread: ESB Introducing New Low Usage Standing Charge

  1. #1
    Politics.ie Regular damus's Avatar
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    ESB Introducing New Low Usage Standing Charge

    As of February 1, 2012 the ESB will be introducing a new low usage standing charge which will apply to all households who use on average less than 2 units or less in any billing period which is typically 61 days. However, this charge will not apply to customers who may be in receipt of the DSP’s free electricity allowance or who are on their household budget plan pay as you go meters. The ESB expect that this increased standing charge will only affect vacant or empty households.

    For those of you who are low usage customers the price increase will equate to 15.5 cents more per day on the normal standing charge. The hike seems nominal at the outset but realistically how long will it remain at 15.5 cents per day? It also appears that the ESB will penalise you if your house is vacant due to hospitalisation or when you head off on vacation.

    In justifying this increase in the standing charge the ESB are saying that this hike is to help them recover the costs of providing electricity to customers who may have very low consumption. It will also help them recover the costs of meter reading, network maintenance and the supply costs of servicing accounts.

    The question is how can this price hike be justified? Does it cost more to maintain the network, read the meter, or service the account to one low usage residence than it does to the other 30 high usage residences on the same road? Or is this just an excuse to screw more money out of already hard pressed homeowners?

    I wonder what Pat the Rabbit will have to say about this increase in the standing charge for low usage customers. Do the other energy providers have a similar low usage standing charge, and if not how long will it take them to come up with a similar price hike? Low usage standing charges are not unique to energy providers however. In the waste collection business for example, companies like Greenstar can levy their customers with an increased monthly standing charge and/or an increased per lift charge if they fail to put their general waste bin out for collection every month.


    Low user standing charge | Electric Ireland

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    I presumed that standing charge is there to recover the fixed costs of running the business such as lines generation plant etc, while the unit charge supposedly recovers the variable cost plus overheads and profit.

    Should the Standing charge be the same whether you use electricity or not?

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    Politics.ie Regular RobertW's Avatar
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    Imagine going into a pub that you don't go to often and getting charged more for your pint than the regular guy sitting next to you on the basis that you don't visit often.

    Is there no end to the schemes that are now being invented to rip people off?

    What is the average wage in the ESB?

    I once read it was €70-75000 if I'm not mistaken
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    Quote Originally Posted by damus View Post
    As of February 1, 2012 the ESB will be introducing a new low usage standing charge which will apply to all households who use on average less than 2 units or less in any billing period which is typically 61 days. However, this charge will not apply to customers who may be in receipt of the DSP’s free electricity allowance or who are on their household budget plan pay as you go meters. The ESB expect that this increased standing charge will only affect vacant or empty households.

    For those of you who are low usage customers the price increase will equate to 15.5 cents more per day on the normal standing charge. The hike seems nominal at the outset but realistically how long will it remain at 15.5 cents per day? It also appears that the ESB will penalise you if your house is vacant due to hospitalisation or when you head off on vacation.

    In justifying this increase in the standing charge the ESB are saying that this hike is to help them recover the costs of providing electricity to customers who may have very low consumption. It will also help them recover the costs of meter reading, network maintenance and the supply costs of servicing accounts.

    The question is how can this price hike be justified? Does it cost more to maintain the network, read the meter, or service the account to one low usage residence than it does to the other 30 high usage residences on the same road? Or is this just an excuse to screw more money out of already hard pressed homeowners?

    I wonder what Pat the Rabbit will have to say about this increase in the standing charge for low usage customers. Do the other energy providers have a similar low usage standing charge, and if not how long will it take them to come up with a similar price hike? Low usage standing charges are not unique to energy providers however. In the waste collection business for example, companies like Greenstar can levy their customers with an increased monthly standing charge and/or an increased per lift charge if they fail to put their general waste bin out for collection every month.


    Low user standing charge | Electric Ireland
    One overhead which is associated with uninhabitated or rarely-inhabitated dwellings is that the meter-reader (in the absence of an outside meter box will spend significantly more time outside seeking entry before having to jot down a note to say they'd visited. On top of this is the background stuff.

    If a meter reader routinely can't access a place he has to report on thhis and efforts must be made through correspondence to make an appointment for an ad hoc reading. This will likely involve sending a van with a qualified electrician (because it's outside the normal meter reading cycle).

    On top of that, ,if there is an external meter and it is showing zero or near-zero consumption over an extended period then that will be investigated. It automatically triggers questions about whether the meter is either broken or has been tampered with. This too may involve a visit from an electrician with the meter possibly even being swapped out and sent to the meter test workshop.

    The system is designed to spot anomalies in consumption at an early stage.

    Far more questionable was their past??? practice in rual zone/grounds of basing the standing charge on the square footage of the premises. I don't know if that is still the case.

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    Politics.ie Regular harshreality's Avatar
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    So we are to conserve energy...... to an extent?

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    Politics.ie Regular Ulster-Lad's Avatar
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    Quote Originally Posted by harshreality View Post
    So we are to conserve energy...... to an extent?
    As long as you don't infringe on the ESBs profits.
    "What all the wise men promised has not happened and what all the damned fools said would happen has come to pass". Lord Melborne, on Catholic emancipation in Ireland

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    Politics.ie Regular harshreality's Avatar
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    Quote Originally Posted by Ulster-Lad View Post
    As long as you don't infringe on the ESBs profits.
    I have heard of take aways requiring a minimum purchase to justify a delivery but this is completely new to me. I know the cost is not very high but it is primarily the principle of the act that I take issue with. The ceo of the ESB gets paid quite alot to come up with nonsense like that!

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    So if you devise some way of using 2 units of electricity per two monthly period you will save yourself about 59 x 15.5 or over €9 per two month period or €54 per year.
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    Politics.ie Regular harshreality's Avatar
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    Quote Originally Posted by Luachara View Post
    So if you devise some way of using 2 units of electricity per two monthly period you will save yourself about 59 x 15.5 or over €9 per two month period or €54 per year.
    Exactly, and that princely sum would be enough to buy energy efficient light bulbs for a year..... actually no wait

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    Quote Originally Posted by Luachara View Post
    So if you devise some way of using 2 units of electricity per two monthly period you will save yourself about 59 x 15.5 or over €9 per two month period or €54 per year.
    There's always some cute hoor with a way around things!!!

    I like your idea. A timer plug with a low-wattage bulb connected would work fine.

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